Currency snapshot (major pairs)

Dollar index trading at 96.88 (+0.25%)

Strength meter (today so far) – Euro -0.19%, Franc -0.12%, Yen -0.33%, GBP -0.40%

Strength meter (since last week) – Euro -0.52%, Franc -0.89%, Yen +0.28%, GBP -1.87%

EUR/USD –

Trading at 1.108

Trend meter –

• Long term – Buy, Medium term – Range/Buy, Short term – Buy

Support

• Long term – 1.048, Medium term – 1.07, Short term – 1.08

Resistance –

• Long term – 1.15, Medium term – 1.137, Short term – 1.12

Economic release today –

• NIL

Commentary –

• Euro is consolidating around 1.11 area, awaiting the FOMC. Euro is likely to rise from here. Buying at dips would be great. ECB low should act as base. If Dollar weakens, as expected Euro risk reward pose bigger opportunities.

GBP/USD –

Trading at 1.41

Trend meter –

• Long term – Sell, Medium term – Sell, Short term – Range/Buy

Support –

• Long term – 1.35, Medium term – 1.38, Short term – 1.41

Resistance –

• Long term – 1.463, Medium term – 1.44, Short term – 1.44

Economic release today –

• Unemployment rate at 5.1%. Average earnings rose by 2.1%

Commentary –

• Pound is undoubtedly performing worst. Our expectations are for Pound to go for longer correction due to weaker Dollar. However that outlook got hit by Brexit fear. We are still maintaining the position through FOMC as critical level yet not hit.

USD/JPY –                      

Trading at 113.5

Trend meter –

• Long term – Sell, Medium term – Range/ Sell, Short term – Sell

Support –

• Long term – 98.5, Medium term – 108, Short term – 110

Resistance –

• Long term – 121, Medium term – 117, Short term – 115

Economic release today –

• NIL

Commentary –

• While our longer outlook for USD/JPY is to sell, in the near term, however we expect it to move higher Active call – Buy Yen @119.5 with stop loss around 123.8 and target at 114 and 110, 108.9 and 98.5

USD/CHF –                                                                                         

Trading at 0.988

Trend meter –

• Long term – Buy, Medium term – Range, Short term – Range/Sell

Support –

• Long term – 0.905, Medium term – 0.945, Short term – 0.98

Resistance –

• Long term – 1.174, Medium term – 1.07, Short term – 1.035

Economic release today –

• NIL

Commentary –

• Swiss National Bank unlikely to ease further and maintain policy. We expect Franc to strengthen against Dollar to as high as 0.9 area.